Summary:
Eudia is the first AI-augmented law firm aiming to end the billable hour, addressing budget and knowledge control issues in legal departments.
Operates under Arizona's Alternative Business Structure, allowing non-lawyer ownership and expanding access to justice through the AI for Good initiative.
Secured $105 million in Series A funding led by General Catalyst, with clients including Fortune 500 companies like DHL and Duracell reporting significant savings.
Acquired Johnson Hana to add over 300 lawyers, creating a human-AI hybrid model that enhances labor without job replacement, emphasizing the need for human oversight.
Focuses on transforming legal services for affordability and support of small businesses, with a vision to revolutionize enterprise legal paradigms.
Eudia: The AI-Augmented Law Firm Changing the Game
Eudia, a Palo Alto-based AI startup, is pioneering the world's first AI-augmented law firm with a bold mission: to eliminate the traditional billable hour. According to CEO Omar Haroun, this model has spiraled out of control, leaving many legal departments struggling with budgets and knowledge management. "Most legal departments have lost control of their budgets and their knowledge," Haroun stated in a press release, introducing Eudia Counsel as the first AI-native law firm designed to help companies regain that control.
Behind the Scenes of Innovation
Haroun shared insights at the 2025 Augmented Intelligence Summit in New York, revealing that Eudia operates under Arizona's Alternative Business Structure (ABS) program. This unique setup allows it to function as a "provider of a law firm" without being owned by lawyers, a rarity in the U.S. legal landscape. The company is also expanding its AI for Good initiative, aiming to transform pro bono work and make legal services more accessible, driven by Haroun's background in law, consulting, and AI, including the sale of his previous startup, Text IQ, to Relativity in 2021.
Impressive Client Roster and Impact
With over a decade in AI, Haroun has attracted major clients like Fortune 500 companies from the start. Mark Smolik, General Counsel at DHL, praised Eudia for bringing organization to scattered data across continents, resulting in "considerable savings." Gary Hood of Duracell called using Eudia a "no-brainer" for contracts and M&A due diligence. Other clients include Cargill, Coherent, Graybar, and Intuit, with many expressing frustration over rising legal bills despite claims of AI adoption by traditional firms.
Funding and Future Vision
In February 2025, Eudia secured up to $105 million in Series A funding led by General Catalyst, with support from Sierra Ventures and Floodgate. This investment fuels their expansion, including the acquisition of Johnson Hana, adding over 300 lawyers to create a human-AI hybrid workforce. Haroun emphasizes that AI's value lies in augmenting labor, not replacing it, ensuring quality through human oversight. CTO Ashish Agrawal, with 30 years of AI experience at IBM, Apple, and Google, highlights the importance of organic integration and citations for reliable AI outputs.
A Broader Mission for Equity
Eudia's AI for Good initiative aims to remove barriers to legal services, support small businesses, and foster economic mobility, particularly in underserved communities. This aligns with their vision of a new paradigm for legal work, combining technology with human expertise to drive efficiency and justice.
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